NCLAT Dismisses Insolvency Plea, Says Rs 1 Crore Debt Threshold Applies On Filing Date, Not Demand Notice Date

The National Company Law Appellate Tribunal (NCLAT) at Delhi has upheld the dismissal of a Section 9 insolvency plea against SBEC Sugar Limited, holding that the Rs 1 Crore threshold under Section 4 of the Insolvency and Bankruptcy Code must be satisfied on the date of filing the petition and not on the date of issuing the demand notice. A bench of Judicial Member Justice N. Seshasayee and Technical Members Arun Baroka and Indevar Pandey dismissed an appeal filed by Mosco International...

Courts Must Remain Vigilant Against Expanding 'Narrow Boundaries' Of IBC Review: Supreme Court

The Supreme Court on Friday upheld the approval of Sarda Energy and Minerals Ltd.'s (SEML) resolution plan for SKS Power Generation (Chhattisgarh) Ltd., cautioning courts against expanding judicial review under the Insolvency and Bankruptcy Code, 2016. Affirming the National Company Law Appellate Tribunal's order, which had upheld the National Company Law Tribunal's approval of the plan, a Bench of Justices BV Nagarathna and R Mahadevan stressed that the IBC prioritises speed and...

NCLAT Dismisses Dhoot Brothers' Plea, Upholds Insolvency Proceedings As Videocon Guarantors

The National Company Law Appellate Tribunal (NCLAT) has dismissed appeals filed by Rajkumar Nandlal Dhoot and Pradeep Nandlal Dhoot, brothers of Videocon founder Venugopal Dhoot, clearing the way for insolvency proceedings against them in their capacity as personal guarantors to debt-ridden Videocon Industries Ltd. A bench of Justice Ashok Bhushan and Technical Member Barun Mitra held that the applications moved by the State Bank of India under Section 95 of the Insolvency and Bankruptcy Code...

NCLAT Allows AMNS To Replace ArcelorMittal India In ₹1,300 Crore Essar Steel RTU Appeal

The National Company Law Appellate Tribunal (NCLAT) at Delhi has allowed ArcelorMittal Nippon Steel India Private Limited to be transposed as the appellant in a pending appeal arising from the Rs 1,300 crore Right to Use charges dispute linked to the Essar Steel insolvency resolution process. The company will replace ArcelorMittal India Pvt. Ltd., the original successful resolution applicant, in the proceedings. The tribunal clarified that the transposition will be subject to the applicant...

Supreme Court Refuses To Frame Guidelines On Parallel Insolvency Against Borrower and Guarantor

The Supreme Court on Thursday observed that while simultaneous Corporate Insolvency Resolution Processes (CIRPs) against principal borrowers and corporate guarantors are legally permissible, it will not frame additional judicial guidelines regulating such proceedings, leaving any reform to Parliament and the Insolvency and Bankruptcy Board of India (IBBI). “We, however, decline to lay down guidelines as proposed; and for good reason. IBC is a product of a well-thought, deliberated, and...

Byju's CoC Moves Supreme Court After NCLAT Refuses Impleadment In GLAS Trust Removal Plea

Today, the Committee of Creditors (CoC) of Byju's parent company Think & Learn Pvt Ltd, moved the Supreme Court challenging an order passed by the Chennai Bench of the National Company Law Appellate Tribunal (NCLAT) on 24 February 2026.On 24 February, the NCLAT had held that although the CoC may litigate in its own name under the IBC, it was not a necessary party to the plea seeking removal of GLAS Trust and accordingly upheld the Bengaluru National Company Law Tribunal's (NCLT) 26...

NCLAT Refuses To Condone Delay In Appeal; Limitation Starts From Pronouncement, Not Uploading

The National Company Law Appellate Tribunal (NCLAT) at Delhi has rejected an application seeking condonation of delay in filing an insolvency appeal by the Resolution Professional of Trading Engineers International Ltd., holding that in the facts of the case limitation commenced from the date the order was pronounced in open court and not from the date it was uploaded on the NCLT website. A bench comprising Chairperson Justice Ashok Bhushan and Technical Member Barun Mitra found that the...

TDS On Interest Alone Not Enough To Cross Insolvency Threshold: NCLT Chandigarh

The National Company Law Tribunal (NCLT) at Chandigarh has dismissed a Section 7 CIRP plea after holding that deduction of TDS on alleged interest cannot be treated as an acknowledgment of liability to cross the statutory threshold under Section 4 of the Insolvency and Bankruptcy Code, 2016. The Bench after relying on the NCLAT's ruling in P.M. Cold Storage Pvt. Ltd. Through Interim Resolution Professional v. Goouksheer Farm Fresh Pvt. Ltd (2022) observed,"Applying the above settled...

Corporate Debtor Liable For Electricity Dues Despite Lessee's Consumption; Privity of Contract Prevails: NCLT Chennai

Admitting a power generator's insolvency plea against its industrial consumer, the National Company Law Tribunal, Chennai, has held that a company cannot escape liability for electricity dues by claiming the power was consumed by its lessee. The tribunal ruled that liability under Section 9 of the Insolvency and Bankruptcy Code flows from privity of contract, not from actual usage of services. Rejecting AKMG Alloys Pvt Ltd's defence, the coram observed: “So long as the Corporate Debtor...

Direct Disbursement To Corporate Debtor Not Mandatory To Qualify As Financial Debt Under IBC: NCLAT

The National Company Law Appellate Tribunal (NCLAT) at Delhi on Tuesday observed that direct disbursement of funds to a corporate debtor is not mandatory for a debt to qualify as a “financial debt” under Section 5(8) of the Insolvency and Bankruptcy Code, 2016. A bench of Judicial Member Justice Mohammad Faiz Alam Khan and Technical Member Naresh Salecha observed, “We carefully observe that the Section does not use the word “to the Corporate Debtor” after word “disbursed”. From the...

MSME Protections Must Be Invoked By Corporate Debtor, Not Personal Guarantors: NCLT Kochi

The National Company Law Tribunal, Kochi Bench, has held that benefits under the MSMED Act, 2006 and the RBI MSME restructuring framework must be specifically invoked by the corporate debtors. Personal guarantors have no independent right to claim such relief. A Bench comprising Judicial Member Vinay Goel admitted insolvency petitions filed by Tata Capital Limited against personal guarantors Jinu Varghese and Geeba Kolliyelil Jenny and declared a moratorium in their respect. He held: “This...

NCLAT Directs YG Estates To Hand Over Supertech Ecociti, 34 Pavilion Maintenance To RWAs In 30 Days

The National Company Law Appellate Tribunal (NCLAT) at Delhi has recently directed YG Estates Facilities Management Pvt. Ltd. to hand over maintenance of Supertech's Ecociti and 34 Pavilion projects in Noida to their registered apartment owners' associations within 30 days. A bench of Judicial Member Justice Ashok Bhushan and Technical Member Barun Mitra held that since 99 percent of the homebuyers had taken possession and the associations were duly registered under the Uttar Pradesh...